I'm surprised BioWare didn't take a similar route Obsidian did in Knights of the Old Republic II, where the events of the prior game were decided by dialogue choices.
I'm glad they didn't. Obsidians approach forced the KOTOR1 player character to one extreme or the other and invalidated every other variation the first game offered.
Besides that, most of the fans were too dumb to figure it out, despite the dialogue being as subtle as a sledgehammer to the face. The forums were flooded with threads asking why the game was talking about the KOTOR1 player character one way when they'd played him/her another.